Walt Disney (DIS) closed at $113.08 in the latest trading session, marking a -1.07% move from the prior day. The stock's performance was behind the S&P 500's daily loss of 0.53%. Meanwhile, the Dow experienced a drop of 0.71%, and the technology-dominated Nasdaq saw a decrease of 0.93%.
Shares of the entertainment company witnessed a gain of 1.83% over the previous month, beating the performance of the Consumer Discretionary sector with its loss of 0.52%, and the S&P 500's gain of 1.13%.
The investment community will be paying close attention to the earnings performance of Walt Disney in its upcoming release. The company is slated to reveal its earnings on November 13, 2025. The company is forecasted to report an EPS of $1.03, showcasing a 9.65% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $22.88 billion, indicating a 1.37% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.87 per share and a revenue of $94.81 billion, indicating changes of +18.11% and 0%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Walt Disney. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.11% lower. Walt Disney is currently sporting a Zacks Rank of #3 (Hold).
From a valuation perspective, Walt Disney is currently exchanging hands at a Forward P/E ratio of 17.64. For comparison, its industry has an average Forward P/E of 17.89, which means Walt Disney is trading at a discount to the group.
Meanwhile, DIS's PEG ratio is currently 1.5. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Media Conglomerates was holding an average PEG ratio of 2.64 at yesterday's closing price.
The Media Conglomerates industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 156, which puts it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DIS in the coming trading sessions, be sure to utilize Zacks.com.
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The Walt Disney Company (DIS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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